Section 381 of the Companies Act, 2013
Section 381 of the Companies Act, 2013 pertains to Foreign Companies and outlines the requirements for filing accounts and other documents with the Registrar by such companies.
📘 Section 381 – Accounts of foreign company
🧾 Key Provisions:
Document Submission by Foreign Company:
Every foreign company is required to, within such time as may be prescribed, file with the Registrar of Companies the following:
Balance sheet and
Profit and loss account (or other documents corresponding to them as per the laws of the country of incorporation),
Additional Documents:
Along with the financial statements, a list of all places of business established by the company in India must also be filed.
Authentication and Translation:
If the documents are not originally in English, they must be translated into English and certified as prescribed.
Exemptions:
The Central Government may exempt any class of foreign companies from complying with these provisions, by notification.
⚖️ Purpose:
To ensure that foreign companies doing business in India maintain transparency and regulatory compliance similar to Indian companies.
🔍 Example:
A UK-based software company with a branch office in Bangalore must file its audited financials, profit and loss account, and list of business locations in India with the Registrar of Companies (RoC) annually under Section 381.
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